Back in the day, Americans can easily get a job. It’s really quite like a walk in the park where you can come inside a friendly establishment at your neighborhood, ask the entrepreneur if he needs some help in his store and voila, you are now employed. This style of job hunting and hiring is popular among the American youth when they are looking for a summer job while school is out. But now, things aren’t so easy. In fact, the situation has got from bad to worse.
All these started during the global financial crisis of 2008, where the US took quite a severe beating-companies that were thought of as too big to fail simply floundered and came crashing down. To illustrate how bad the situation is that ultimately affected the American labor force, back in 2007 66 per cent of the American population are employed or were actively seeking employment.
Too Few Workers
Fast forward to 2013, that number is now at a mere 62.8 per cent. This has been the lowest employment rate ever in America since 1977. This is of course felt across every State in the US and the respective businesses therein from Alabama car insurance, to Maine fishing industries and Idaho farming—there simply are far too few people who are working nowadays.
Aside from the global financial crisis during 2008, what are the other possible reasons why labor participation has been slumping during the past half decade? Well, one reason is that age becomes a factor in the equation. Older Americans who have been through the prime of their lives are now seeking retirement.
On the other side of the fence, the youth on whose back the country’s labor might take growth keep on going back to school learning everything they can with their masters and post graduate studies. The current workforce meanwhile, keep on getting disillusioned at the US economy by the minute. Many are now discouraged by the weak US economy that keeps on laying off employees.
Baby boomers simply have had enough with working to the bone. This generation was the reason why America became an industrial powerhouse. When they were young, the boomers were out there doing what they can and entering whatever jobs they could find as long as they could earn money. No job for them was too tawdry or too run-off-the-mill, as long as they were making money; they are fine. They are industrious and were very much willing to learn.
This made them the some of the most eligible persons for the job. However, due to the fact that they are retiring en masse, they would be replaced by younger persons who may be ecstatic to work, however, they are grossly inexperienced.
Since the overall pickings are slim in the current job market, this forces more and more Americans to take keep on going back to school to pad their respective CVs. Although this in general isn’t a bad thing, the possible repercussion here is that younger people who could have spent their time working and developing a career already are forced to delay actual work.
The youth of America keep on finding excuses to pursue more degrees. If they aren’t careful, this would bleed them dry. When that happens, they would be forced to settle for less. This is why it is no wonder why some college graduates are underpaid and under hired— sans any choice but to take practically any job that could come by.
All in all, these are tell-tale signs that America should be careful in the future. More jobs must be generated and more demand must come from the people. Otherwise, this economic slump would continue for the unforeseeable future.